TSX ends down 207.08 points, or 1.1%, at 18,441.84
Linamar slides 11.6%; Magna ends 3.9% lower
Technology falls 2.9%
Shopify loses nearly 8%
Sept 29 (Reuters) - Canada's main stock index on
Thursday gave back some of the previous session's sharp gains as
the shares of two major auto suppliers declined and investors
weighed recent volatility in global currency and debt markets.
The Toronto Stock Exchange's S&P/TSX composite index
ended down 207.08 points, or 1.1%, at 18,441.84, after
posting on Wednesday its biggest one-day advance in more than
For the month, the index was on track to fall 4.6%, while it
was headed for its second straight quarterly decline.
Wall Street also fell on Thursday as investors worried that
the Federal Reserve's aggressive fight against inflation could
hobble the U.S. economy.
"It's a very fluid situation with a lot of geopolitical
concerns, earnings, and interest rates," said Brandon Michael,
senior analyst at ABC Funds in Toronto. "Investors are on edge a
little bit here, but we have reason to be optimistic getting
"Many investors are viewing the parabolic moves in yields in
the U.S. dollar to be unsustainable and emblematic of a blow off
top," Michael added.
The consumer discretionary sector lost 2.1%, with Linamar
Corp and Magna International falling 11.6% and
Scotiabank trimmed its price targets on the two companies,
saying a likely recession in 2023 and higher energy prices in
Europe may lead to lower sales volumes of auto makers and
component manufacturers, and pose headwinds to margins.
Technology shares fell 2.9% as e-commerce giant Shopify Inc
fell nearly 8% to post its lowest closing level since June 2019.
Canadian energy infrastructure firm Enbridge Inc
said it has acquired U.S.-based renewable energy developer Tri
Global Energy (TGE) for $270 million and assumed its debt.
Enbridge's shares ended 1.4% lower.
Heavily-weighted financials fell 1.1% and utilities were
(Reporting by Fergal Smith; Additional reporting by Shashwat
Chauhan; Eby Uttaresh.V and Alistair Bell)